Financial Performance

Historical Perspectives
The Finance Commission of India was established as per the drafted Acts and Rules in the year 1951. The President of India is empowered with the selection and responsibilities of the finance commission of India. Further, the President of India assigns the term of their office of the Finance commissioner and the four other member of the commission.

Financial Sector Reforms

Nationalization of banks in 1969 Setting up of various Organizations ICICI

Since Post Independence Banking Monitory Financial Market Forex Market

Early 90s
Extensive Regulations Administered interest rates Directed Credit programme Weak banking structure Lack of proper Accounting Lack of transparency

Major landmark in Indian Economy

Industrial policy 1991 1st Generation Reforms 2nd Generation Reforms

Industrial Policy 1991

Social and economic justice, to end poverty and unemployment and to build a modern, democratic, socialist, prosperous and forwardlooking India India to grow as part of the world economy and not in isolation Greater emphasis placed on building up ability to pay for imports through our own foreign exchange earnings development and utilization of indigenous capabilities in technology and manufacturing as well as its up gradation to world standards.

Industrial Policy 1991

Foreign investment and technology collaboration will be welcomed to obtain higher technology, to increase exports and to expand the production base. Government will endeavor to abolish the monopoly of any sector or any individual enterprise in any field of manufacture, except on strategic or military considerations and open all manufacturing activity to competition. The spread of industrialization to backward areas of the country will be actively promoted through appropriate incentives, institutions and infrastructure investments. Government will provide enhanced support to the smallscale sector so that it flourishes in an environment of economic efficiency and continuous technological up gradation

1st Generation Reforms

Creating an Efficient, productive financial sector. Flexibility in Operations Functional Autonomy

2nd Generation Reforms

Strengthening financial Systems Introduction Structural improvements

Achievements- Banking Sector

Competition Enhancing measures Enhancing role of Market forces Prudential measures Institutional legal measures Supervisory Measures Technological related measures

Achievements- Foreign Exchange

Exchange rate regime Finance mobilization Institutional framework Increase in instruments in foreign exchange market Liberalization measures

Conclusion

Thank You